CARE upgrades Srei Ratings

CARE Ratings has upgraded its rating on Srei Equipment Finance (SEFL), one of India's largest equipment financing institutions.

CARE Ratings, according to Srei officials, has upgraded its rating on the firm's long term facilities to 'CARE AA' with stable outlook enhanced from 'CARE AA-' with positive outlook.

The rating upgrade factors the overall improvement in the financial risk profile of SEFL, marked by significant growth in disbursements in financial year 2017-18, improvement in profitability, collection efficiency and asset quality indicators. 

The rating upgrade also factors in continuous reduction in net non-performing assets standard restructured assets, assets acquired in satisfaction of debt and repossessed assets as a percentage of the net worth.